It’s inevitable. Someone in your office has a bad experience with a bank during their lunch break and returns vowing to ditch their account and go with the local credit union. But there is a difference between banks and credit unions. While credit unions function like a bank, they are nonprofits and therefore aren’t beholden to shareholders. However, that doesn’t mean that they are better than banks.

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Here are some pros and cons to ditching traditional banks for a community-focused one.

Benefits of Credit Unions

They are nonprofit. By not having to share profits with shareholders, credit unions can use them to reduce fees. Credit unions are less likely to find ways to hike up fees on customers in order to create profits.

They don’t focus on fees. Credit unions offer free accounts with no minimum balance requirements. The days of free checking at banks are gone, which means most people need a minimum balance or a regular direct deposit from their paycheck in order to stave off fees. While credit unions do have overdraft and other fees, there are fewer of them than at a traditional bank.

They are more willing to work with you. If you do incur a fee, the credit union is more likely to call you or help you link your accounts so you don’t have to pay more money.

They have better interest rates. Because credit unions aren’t beholden to shareholders, they often have higher interest rates on savings accounts, CDs and checking accounts. Some credit unions aren’t even allowed to have more than a certain interest rate on credit cards and loans.

Drawbacks of Credit Unions

They don’t have the best technology. Some credit unions still don’t do online banking. Many of their websites aren’t updated regularly. Credit unions mainly focus on money, not the technology that helps customers use it.

Not everyone can join. Credit unions restrict their membership to people who live in certain areas or work for certain companies. While most people can find a credit union to join, they may not be able to join one with the best online site or location.

There aren’t many ATMs. If you can’t get to your regular credit union location, it’s often hard to find a credit union ATM because credit unions can’t afford to install them every place where you need them. Some reimburse you for ATM fees, but not all of them do.

Every day, people all around the country find themselves in financial predicaments. While they are working and have a steady paycheck coming in, they may not have enough cash on hand to cover an emergency. And, when emergencies arise, if they aren’t taken care of rapidly, they can quickly become calamities. Here are a few reasons that people need quick cash loans.

1. Problems With The Vehicle

Getting to work every day generally means that a solid method of transportation is reliably available. When the car or truck suddenly stops working and there is no reliable substitute such as public transportation available, it makes sense to apply for a quick cash loan to get the car fixed. It’s best to get a repair estimate and get the loan for the exact amount.

Quick cash loans tend to have high rates of interest, so keeping the principle amount low means that you are also reducing the amount of the interest you will have to repay. The good news is that when you have a vehicle, you may be able to get the loan as a title loan. However, try to pay the loan off as soon as possible. These loans should not be used for daily living expenses because of their high rates of interest.

Need Quick Cash Loans

2. Rent Payments

Occasionally, people come up short for their rent and run the risk of being evicted. A quick cash loan can satisfy the landlord and keep you in your home or apartment. Since landlords often charge an extra fee when the rent is paid late, you can save yourself some grief by getting a loan and paying the rent on time. By the time a tenant pays the court costs and eviction fees, the high-interest rates on a payday loan might actually be a bargain.

Keep in mind that you will need to have a job or a reliable source of income to qualify for one of these loans. In addition, it’s a good idea to pay them off in full the next time that you get your paycheck. If you don’t pay your loans off in full and wind up making monthly payments, you run the risk of falling behind on the rent in the upcoming months. It is best to only rely on quick cash loans to help you pay the rent on occasions when an emergency arises.

3. Bad Credit Rating

People whose credit is bad or poor cannot get a loan from the bank because banks and other financial institutions base their decisions on credit scores. Those low credit scores prevent people from getting ahead. However, since no credit check is performed for quick cash loans, these types of loans are available to everyone.

Other reasons for getting a quick cash loan include medical emergencies, overdrawn checking accounts, an unexpected need for travel, or to cover expenses for a death in the family. In short, there are many different reasons to get one of these loans.